Combustibles and lubricants (fuels)

Accounting for the consumption (issue) of materials into production. Accounting entries

The release of materials into production means their release from the organization's warehouse (shops) directly for the manufacture of products (performance of work, provision of services), as well as the consumption of materials for the management needs of the organization.

The release of materials to the warehouses of departments (shops) of the organization and to construction sites is considered as internal movement.

As materials are released from the warehouses of departments (shops) to workplaces, they are written off from the material asset accounts and credited to the corresponding production cost accounts. The cost of materials released for management needs is charged to the appropriate accounts for accounting for these expenses.

The primary accounting documents for the release (consumption) of materials from the organization's warehouses to the organization's divisions (shops) are a limit-fetch card (standard interindustry form N M-8), a demand invoice (standard interindustry form N M-11), an invoice (standard interindustry form form N M-15).

Valid options

To begin with, let us recall what an accountant who forms the accounting policy of an organization can choose from. In case of single production, WIP assessment is prescribed to be carried out based on actual costs, but in mass or serial production, you can choose from four methods:

• at actual production cost;
• according to standard (planned) production costs;
• by direct cost items;
• at the cost of raw materials, materials and semi-finished products.

Finished products must be reflected in the balance sheet in one of the following ways:

• at actual production cost;
• at standard (planned) production costs.

Moreover, the standard cost, in turn, can be determined in one of two ways:

• by the amount of standard costs associated with the use of fixed assets, raw materials, materials, fuel, energy, labor resources, and other costs for production in the production process;
• for direct cost items.

If, according to the accounting policy, products are valued at actual production costs, in current accounting there is a need to use accounting prices, which can be used as standard cost, contractual (sale) price of products, and other types of prices. And at the end of the month, any deviations that arise (calculation differences) will be identified and written off.

List of accounts involved in accounting entries:

Below are accounting entries reflecting the consumption of materials for production and administrative needs.

Valuation of work in progress at actual production cost

And finally, the most complex, but also the most complete and accurate method of assessing work in progress is based on actual production costs, which takes into account not only direct, but also indirect (general production) costs.

Example 5. Using the data from example 1, assume that the enterprise decided to evaluate work in progress at actual production costs.

At the end of the month, the accountant summed up all the expenses incurred for the month, reflected on account 20 (including those written off from other accounts, including account 25), and received the total amount of actual production costs for the month - 561,000 rubles.

This means that the actual production cost of each unit of production - both completed and unfinished - amounted to: 561,000 rubles. / 10,000 units = 56.10 rub.

And the “incomplete” will be valued at: 56.10 rubles. x 200 units = 11,220 rub.

And the cost of manufactured products will be determined in the amount of: 561,000 - 11,220 = 549,780 rubles.

Ideally, the degree of product readiness should also be taken into account here, if such can be determined (then general production costs when assessing work in progress are “tied” to direct labor costs).

Let us pay special attention to the fact that the regulations refer to the assessment of work in progress exclusively at production costs. However, the understanding of this term may vary.

In foreign practice, production costs clearly do not include general (administrative) and commercial expenses - they are attributed directly to the reduction of the financial result (which is equivalent to entries from the credit of accounts 26 and 44 directly to the debit of account 90 “Sales”).

In Russia, another option is acceptable and is often used - when general business expenses are not considered as semi-fixed, but are also included in the cost of production, in other words, account 26 is closed as a debit to account 20 (as well as accounts 23, 29 when selling products, work, services, auxiliary and servicing industries and outsourced farms). With this option, “production cost” is considered to be the total amount of costs collected on account 20, including general business expenses. And what is considered “production cost” according to Western ideology, in this case is called “shop cost”.

Thus, depending on the chosen approach and the option for writing off general business (administrative) expenses, the accounting policy should further clarify the concept of production cost and the composition of its costs (costing items), on the basis of which finished products and work in progress are assessed.

Accounting for other disposals (write-offs, gratuitous transfers) of materials. Accounting entries

Write-off of materials can be carried out in the following cases:

• that have become unusable after expiration of the storage period;
• obsolete;
• when identifying shortages, thefts or damage, including due to accidents, fires, and natural disasters.

The preparation of the necessary information for making a decision on the write-off of materials is carried out by the Commission with the participation of financially responsible persons. Based on the results of the inspection, the Commission draws up an Act on the write-off of materials for each division of the organization, for financially responsible persons.

The write-off of materials transferred under a gift agreement or free of charge is carried out on the basis of primary documents for the release of materials (waybills, applications for the release of materials to third parties, etc.). Article 146 “Object of taxation” of the Tax Code of the Russian Federation states that the transfer of ownership of assets free of charge is recognized as a sale, that is, subject to VAT.

Below are accounting entries reflecting the write-off and gratuitous transfer of materials

Accounting for fuel and lubricants

Accounting for fuel and lubricant consumption by trade and public catering enterprises

Talalaeva Yu.N.

Published in the issue: Accounting and taxes in trade and public catering No. 1 / 2004

Specifics of the activities trade enterprises

and
public catering
is such that it involves the use of vehicles.
Transport is used for the transportation of purchased and sold goods, raw materials, delivery of lunches, as well as for management needs. Accordingly, for accountants
,
the problem of documenting, accounting and monitoring
the consumption of fuel
and
lubricants .

These and other issues are covered in this article.

Documentation of fuel and lubricant consumption